Economics at your fingertips  

On the efficient location of hospitals

Donald Vitaliano ()

Letters in Spatial and Resource Sciences, 2020, vol. 13, issue 1, No 1, 10 pages

Abstract: Abstract An efficient hospital location minimizes the sum of treatment costs and patient travel costs. This paper presents a model of a circular hospital market area and estimates the parameters of that model for 125 hospitals in New York State outside of New York City. On average, an efficient location involves a patient vehicle journey of 16 min, but the actual average is 42 min. Thus patients are required to travel too far, given the existing size and service mix of hospitals. Free entry is unlikely to remedy the situation since the number of hospitals has steadily declined due to continuing closures and mergers, and State policy essentially prohibits for-profit hospitals, which might otherwise seek to fill gaps in the market.

Keywords: Hospital location; Efficiency; Not-for-profit; Regulation (search for similar items in EconPapers)
JEL-codes: R3 L3 I18 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link) Abstract (text/html)
Access to the full text of the articles in this series is restricted.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Ordering information: This journal article can be ordered from

DOI: 10.1007/s12076-019-00241-1

Access Statistics for this article

Letters in Spatial and Resource Sciences is currently edited by Henk Folmer and Amitrajeet A. Batabyal

More articles in Letters in Spatial and Resource Sciences from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().

Page updated 2020-11-11
Handle: RePEc:spr:lsprsc:v:13:y:2020:i:1:d:10.1007_s12076-019-00241-1